Match the following types of markets with their characteristics: Class 7
hardMatch the following types of markets with their characteristics: Class 7
Question 1.
Match the following types of markets with their characteristics: Class 7
Answer:
| S.No | Markets | Criteria |
| 1. | Physical market | Requires physical presence of buyers and sellers |
| 2. | Online market | Buyers and sellers meet virtually and can transact at any time |
| 3. | Domestic market | Lies within the boundaries of a nation |
| 4. | International market | Goods and services flow outside the nation's boundaries |
| 5. | Wholesale market | Deals in bulk quantities |
| 6. | Retail market | Serves the final consumers with goods and services |
Question 2.
Prices are generally determined by the interaction between demand from buyers and supply by sellers. Can you think of products where prices are high despite lesser number of buyers demanding the product? What could be the reasons for that? Class 7
Answer:
Yes, prices can be high for certain products even if not many people want to buy them. One example is luxury items like designer handbags, clothes, antiques, special featured cars, bikes or rare collectibles.
These products have high prices because they are seen as exclusive or special. The cost of making these products is very high, so sellers need to charge more to cover their expenses. Some products are bought at higher prices, for investment purpose and status.